BLOOMINGTON, Ind. — Orders of new Class 8 tractors in August rose 2% month over month to 13,400 units, according to a preliminary report released Sept. 5 by FTR Transportation Intelligence. However, the year-to-date (January-August) total of 271,000 units is down 16% from 2023.
The 2% month-over-month gain was well below seasonal expectations; the average m/m gain from July to August has hovered around 20% for the past seven years, according to FTR.
August orders came in below seasonal expectations as the average month-over-month increase from July to August has been around 20% over the past seven years.
“The combination of a stagnant truck freight market and full or nearly full 2024 order boards presumably are the main factors behind a smaller than typical increase,” the FTR release noted. Based on performance for the year to date, the release continued, orders are running slightly below replacement demand levels at an average of 18,735 net orders per month.
The typically slower order period from April through August has averaged 14,885 orders per month. Despite three consecutive months of lower year-over-year orders, strong early-year performance has kept 2024 year-to-date net orders up 14% over 2023.
“OEMs this month faced a somewhat mixed market, though overall conditions were stable,” said Dan Moyer, senior analyst/commercial motor vehicles for FTR.
“The conventional market outperformed the vocational sector, driving most of the m/m improvement. Despite stagnant freight markets, fleets continue to invest in new equipment, albeit at a slower pace,” he said. “We expect further reductions in backlogs once the final Class 8 market data is released later this month and continued growth in already record-high inventory levels. Pressure on OEMs to reduce production rates is mounting.”
FTR will release its final report in mid-September.
Linda Garner-Bunch has been in publishing for more than 30 years. You name it, Linda has written about it. She has served as an editor for a group of national do-it-yourself publications and has coordinated the real estate section of Arkansas’ only statewide newspaper, in addition to working on a variety of niche publications ranging from bridal magazines to high-school sports previews and everything in between. She is also an experienced photographer and copy editor who enjoys telling the stories of the “Knights of the Highway,” as she calls our nation’s truck drivers.
